1 Month | 1.50% of the amount hedged |
2 Months | 2.20% of the amount hedged |
3 Months | 2.50% of the amount hedged |
4 Months | 2.90% of the amount hedged |
5 Months | 3.20% of the amount hedged |
6 Months | 3.40% of the amount hedged |
9 Months | 4.00% of the amount hedged |
12 Months | 4.40% of the amount hedged |
Forwards | Futures | FXWells | |
Initial Margin/Deposit | No. - Need credit line or margin deposit |
Yes. - Minimum amount of 125,000 |
No. |
Variation of Margin | No. | Yes. | No. |
Forego favorable rate movements | Yes. | Yes. | No. |
Speculation | Yes. | Yes. | No. |
Arbitrage | Yes. | Yes. | No. |
Transaction Cost | Yes. | Yes. | Yes. |
Maturity Date | Fixed. | 4 days per year. | Choose own date. |